Understanding the Reimbursement Process

You run the Expense Report Reimbursement program (R20110) when expense reports reach the Reimbursement Process status (900). Depending on the reimbursement method that is set up for the employee, the system creates a batch of vouchers or a batch of time cards or both. The system uses these records to reimburse employees and credit card companies.

If you reimburse a credit card company, the system updates the Payee Address Number field of the voucher that it generates with the address book number of the credit card company, thereby making the payment to the appropriate party.

If you report expenses in a currency other than the reimbursement currency, the system uses the date of the expense, in conjunction with the exchange rate identifier, to locate the appropriate exchange rate and convert the expense to the reimbursement currency.

The system generates a report that identifies the expense reports that have processed successfully and those that have not. If the expense report processed successfully, the employee receives a message from the system that reimbursement processing is complete. If the system encounters an error and an expense report is not processed, the system sends a message to the employee who ran the Expense Report Reimbursement program that an error occurred. The system also changes the status of the expense report to Error During Reimbursement (910); you must resolve the problem and reset the status on the expense report so that it can be processed again.

If you set an expense category to check for allowable and unallowable expenses and any of the expenses exceed the policy limit, then the allowable amount is billed to the first account that you set up in the Account Mapping program (P20106). The amount that exceeds the allowable limit is billed to the object and subsidiary account that you set up for unallowable expenses. Based on this allocation, expenses are reimbursed to the employee from different accounts, generating two G/L distribution lines.